Ireland’s independent bookmakers are receiving tax breaks from the government, and the horse racing industry has put their annual handouts in place.
On Tuesday, Ireland’s Finance Minister Pascal Donoghue announced the government’s 2020 budget at the end of the month, which could cause chaos in the republic, with the possibility of britain crashing out of the European Union. Border with Northern Ireland.
Small-time bookmakers in the U.S. have found that the first €50k of annual betting revenue is not subject to the new 2% betting tax, which came into effect in January. The tax cut is intended to allow independent mothers and pop bookmakers to better compete with the likes of the better stuttering group, Donoghue said, and that relief was applied under the conditions stipulated in EU state aid rules.
This summer, the government said it was mulling a tax break on the first €2m of annual revenue but Donohue nixed the proposal last month, saying there was currently “insufficient legal certainty” to justify a serious overhaul of the gambling tax system. The bookmaker lobbied the government to turn it into a general tax on betting revenue, but Donohue said there was no “convincing case” for the move.
The Irish Bookmakers Association predicted that even stores with brands such as Boyle Sports and Paddy Power would be forced to close hundreds of betting shops. Hit.
Meanwhile, the 2020 budget will move to Racing Island (HRI) for €67.2m, freezing annual contributions to the Irish Horse and Greyhound Racing Fund from €80m. Racing groups, which have pressed the government to raise the sports betting tax to 2.5% of revenue, predicted that funding would increase with the government’s betting take.
The Irish Times reports that HRI CEO Brian Kavanagh was not surprised by the “still situation” for the race in the 2020 budget, saying the uncertainty surrounding Brexit is an immediate priority to get the country, and the horse industry over the coming months.